Blog posts | SIGTAX LIMITED Ireland

Double taxation treaty between Ireland and Malta

The Irish and the Maltese have a lot in common. They are both Islands set on the periphery of Europe, military neutral and their economic growth is at par. Furthermore, they are expected to be one of most thriving economies in the European Union in the near future. To strengthen their bilateral ties, the two nations signed a Double taxation treaty.

Pharmaceutical companies in Ireland

Ireland is currently home to nine out of ten of the world’s largest pharmaceutical companies. A lot of multinational companies are finding convenience in Ireland and over the years the pharmaceutical sector has grown to be one of the major backbones of the Irish economy.

Types of business licenses in Ireland

Just like any other country, the Irish government requires businesses to be registered and obtain licenses before they can start their operations. Apart from the obvious company registration license, certain business activities such as pharmaceuticals, telecommunications and IT would require separate and additional licensing.

VAT registration In Ireland

Every legal business entity operating in Ireland is obliged to pay VAT, save for a few businesses and individuals who are exempted; fishers, farmers and a few others. VAT is added on to the value of services or products at each stage of production or distribution. It’s rather a clever structure set up by governments to make companies unpaid tax collectors. The upside to VAT is that if your business is VAT registered, you can claim a VAT credit from the Irish Revenue for the tax you paid to other VAT registered entities.

What you need to know before buying property in Ireland

The process of purchasing property in Ireland is not that different from other European countries. If you have all the funds needed at once, it’s even easier and faster. As a general rule, foreigners who want to buy property in Ireland are expected to make a 30-50% deposit. If you want to buy the property through a mortgage, you should keep in mind that the application process can be quite a challenge as most Irish banks consider non-Irish residents a greater risk.

Branch Office VS Subsidiary company

Foreigners who want to expand their businesses in Ireland can choose from two options, either a branch or a subsidiary office. The difference between the two is determined by the degree of independence the establishment can have when discussing in terms of the parent company.

Public Limited Company (PLC)

In a Public limited company, the liability of the partners is only limited to the amount of money, if any, unpaid on shares held by the members. Companies seeking Stock Exchange listing or those wishing to come up with a befitting Business Expansion Scheme should formulate a Public Limited Company to achieve this purpose.

Company types available in Ireland

Limited companies exist as lawfully separate entities in Ireland. This means that the partners are not entirely responsible for the company’s liabilities. Their degree of liability is determined by the amount of capital that they put in the business. Prospective entrepreneurs looking forward to register their limited liability or unlimited company have a variety of company types to choose from. Private Companies Limited by Shares constitute the majority of start-up businesses registered in Ireland.

Dividend tax in Ireland

According to Irish legislation, all companies registered in Ireland must comply with the terms and conditions stated in the Dividends Withholding Tax rules. The standard withholding tax on dividends in Ireland is 20%. This tax is deducted from relevant distributions (i.e., income), and corporation tax is applicable at a rate of 12.5%.

Double taxation treaty between Ireland and Belgium

The Irish and the Belgians have a long and remarkable history which stretches back from centuries old. To date, Belgium is Ireland’s third largest export market. One of the major reasons behind the two countries’ flourishing relationship is the Ireland-Belgium double taxation convention. The signing of this agreement has allowed Irish and Belgian residents to conduct business activities in the two countries without facing fiscal evasion or double taxation.